ko boco vox · v summary 4) 5) . 7) 9) the monument gold zone is located 1.5 km east of the fraser...

SUMMARY REPORT

on the

MONUMENT GOLD ZONE (Little Ed 1 - 18 Claims)

Siwash Creek Area NTS 92H/ 1 lW, Latitude 49O37’/Longitude

New Westminster Mining Division

Prepared for

21386 Lakeview Crescent Hope, BoCo vox 1LO

K O Lo S o INVESTMENTS LTDm

121O22’

Phone: 604-869-3282, Fax: 604-869-328 1

PROPERTY FILE Prepared by

Jo To SHEARER, MmSCm, PeGeoo HOMEGOLD RESOURCES LTD.

#5-2330 Tyner St. Port Coquitlam, BE.

v3c 221

November 29, 1996

I CONTENTS

pane LIST OF ILLUSTRATIONS and TABLES. .................................................... ii

SUMMARY. 0. 0.0 0.0 0.0 e.... 0. 0. 0.0 0. 0. 0.0 0. iii

EXPLORATION HISTORY ofthe Monument Z0ne...................................... 4

REGIONAL GEOLOGY........................................................................~...... 6

LOCAL GEOLOGY and MINERALIZATION.................................................. 7

GEOPHYSICS ............................~..........................................................~. 15

CONCLUSIONS ....................................................................................... 16

RECOMMENDATIONS and COST ESTIMATE PHASE I...................~.......... 17

COST ESTIMATE of FUTURE WORK PHASE I1 ........................................ 18

REFERENCES ........................................................................................ 19

APPENDICES Statement of Qualifications .................................. 25 Claim Records ...................................................... 26

Appendix I Appendix I1

i

LIST OF ILLUSTRATIONS and TABLES

FIGURE 1

.FIGURE 2 FIGURE 2a

FIGURE 3

FIGURE 4

FIGURE 5

FIGURE 6

FIGURE 7

FIGURE 7a

FIGURE 8

FIGURE 9

FIGURE 10

FIGURE 11

TABLE 1

TABLE 2

TABLE 3

ILLUSTRATIONS Following

Paae

Location Map . . . .. ..... . . .. . . . . .. . . . . . . . . .. . .. . . . . . . . . . . .. . . . . . . . . .. . . . . . . . . . . . . .. . 1

Topographic Map 1:50,000.................................................. 2 Access Map 1:250,000 ........................................................ 2

Claim Map 1:50,000............................................................ 3

Regional Geology . . . . . . .. . . .. . . .... . .. . . . . .. . .. . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Stratigraphy . .. . .. ... . . . . ... . .. . . . .. . .. .. . ... .. . . . . .. . . . ... . . . . . . . . . . . . . . . . . . . . .. . .6

Gold Occurrences in the Coquihalla Gold Belt ..................... 4

Monument Gold Zone, Geologg 1:5,000............................... 7

Monument Gold Zone, Detail G e o l o 8 ~ . . ................................ 8

Soil Geochemistry, 1:5,000.. ............................................. 13

Detail Soil Geochemistry, 1:1,200....................................~. 14

Survey Plan Location of Drill Holes and Trenches 1:250 .................................................... ........ 9

Cross-Section 2+00N Diamond DrU Holes 77-7, 77-8, 79-1, 79-2, 1:500............. 10

TABLES

Sigdflcant Gold Intersections at the Monument Gold Zone 1977 - 1979 Diamond Drilling........................ 11

v

SUMMARY

4)

5)

. 7)

9)

The Monument Gold Zone is located 1.5 km east of the Fraser River, 8 km northeast of Yale, B.C. It is also 13.5 km northwest along the Coquihalla Gold Belt from the past producing Idaho Gold Deposit operated by C a r o b Mines between 1981 and 1984 and now under renewed and successfid major exploration by Athabaska Gold Resources Ltd.

The Monument Gold Zone is accessible by all weather Forestry roads leaving the Trans Canada Highway at the north end of the Alexandra Bridge near Spuzzum. The claims are reached by traveling a distance of 12.0 km up the Gilt Creek Road to the Si- Road then south 10 km via Hidden Creek to Siwash Creek.

The Coquihda Gold Belt is characterized by an ultramafic serpentine-gabbro complex separated by the deep crustal Hozameen Fault ftom Triassic Spider Peak Formation volcanics and coarse to fine clastic Lower Jurassic Ladner Creek Group.

The Monument Gold Zone is contained within a quartz vein and altered zone hosted by Lower Jurassic Ladner Group slates which have been intruded by felsic dykes about 175 metres east of the Hozameen Fault. Assay values in the Monument vein have returned up to 9.48 oz/ton in drill core.

Previous small amounts of gold production in the general area occurred at the Ward Mine, 3.5 km south of the Monument Zone in 1905. Modem work started in the northern area by the early 1970’s after the Idaho Deposit was delineated in 1974 by Carolin Mines Ltd.

The Monument Gold Zone was discovered in 1976. Preliminary work included geological mapping, trenching, geochemistry. Limited diamond drilling occurred in. 1977 and 1979.

A total of 3,894.5 feet (1,187.06m) of diamond dnilling 19 holes was completed in 1977 and 1979. The Monument Gold Zone can be classified as a mesothermal replacement lode of the MotherLode type.

Preliminary resource estimate by D. R. Cochrane after the 1977 drSling was 824 tomes per vertical meter grading 6.14 g/tonne (277 short tons per vertical foot grading 0.179 oz/ton gold) across an average width of 5.3 feet (1.6m) [strike length 1,000 ft]. No other estimates have been done to date.

.

Preliminary metallurgical testing was completed in 1996. Gravity concentration of a sample ground 76.9% minus 100 mesh recovered 82.9% of the gold in a product grading 98.3 g/ton Au. Single stage flotation of the gravity concentration tails recovered an additional 9.5% of the gold giving M overall preliminary recovery of 92.4%.

A phased program of deeper and closer spaced diamond drilling is recommended to better assess the vein system as a whole and to define the higher grade zones within the vein to a depth and to the south in conjunction with bulk sampling and metallurgical testing. Cost of Phase I is estimated to ,. be $350,000.00 with a contingent Phase I1 of $320,000.00. +i :

INTRODUCTION

This report has been commissioned by Jon Stewart of K. L. S. Investments Ltd. to summarize all available information on the Monument Gold Zone and propose an orderly exploration program to. test the zone’s potential in light of recent geological studies along the Coquihalla Gold Belt.

The Monument Gold Zone was discovered in 1976 by Longbar Minerals Inc. by a program of prospecting, stream sediment sampling, hand panning and soil sampling under the direction of Jon Stewart and Dr. W. Geiger, coordinated by D. R. Cochrane.

In 1977 the zone was exposed by 17 bulldozer trenches and 12 Short diamond holes investigated the mineralization to depth. The last substantial work on the Monument Gold Zone was in 1979 when 7 more deeper diamond drill holes were completed.

Although this initial work was highly encouraging, a variety of corporate circumstances combined to preclude any substantial exploration taking place since 1979. The area is easily accessible and numerous gold showings are known along the east side of the Hozameen Fault. Soil sampling has outlined several multi-line anomalies that require follow up and trenching.

The Monument Gold Zone exhibits remarkable continuity along strike and is open to depth. Gold deposition along the Coquihalla Gold Belt can be classified as mesothermal replacement lodes of the MotherLode type. Cairnes (1924) documents many similarities between the Motherlode District of California and the Coquihalla Gold Belt.

Work in 1996 consisted of opening the road access, computerizing the database in P. C. Explore, road building, prospecting and preliminaqy metallurgical testing. A test milling facility is currently under construction near Yale, B.C. in anticipation of mining a bulk sample in early 1997.

Future work has the distinct possibility of encountering high grade gold mineralization Shoots within the main vein and as zones between the Monument Gold Zone and

the Hozameen Fault. The Monument Vein is also open to the south and north.

The existing 1,500 tons per day flotation-cyanide mill, and permitted tailings pond situated at the Ladner Creek Mine, 13.5 km south of the Monument Zones, may be available in the near future for custom milling.

1

SCALE . 100 0 loo PO0

PROPERTY LOCATION

MONUMENT GOLD ZONE Coquihalla Gold Belt

LOCATION MAP Scale: os ahown I Dote: Feb. 1996 I NTS: 92H/llW

Fig. 1 F Work by: J. Shearer, M.Sc., P.Geo.

3

LOCATION and ACCESS

The main access to the Monument Zone is excellent via the all weather Siwash Creek logging road. I t originates from the Trans Canada Highway, Highway # 1, one half kilometer north of Alexandra Bridge, some 2.2 kilometres north of Spuzzum. This road traverses south through the claims to the forks of Siwash Creek with numerous branches into different regions of the claims. Logging and road building in the early 1980's has opened up access to the upper Siwash area Due to active logging, near the beginning of the roads, arrangements should be made with Cattermole Logging of Sardis, B.C. to ensure road safety.

The Monument Gold Zone is located 8 km northeast of Yale, BE. in the Siwash Creek watershed and 13.5 k m northwest of the Ladner Creek minesite off the Coquihalla Highway. Access is also possible by ATV vehicles fiom the McMaster Camp and Coquihalla Highway through the upper, presently washed out, portion of the South Siwash Forestry road.

A 1,500 ton per day flotation-cyanide gold mill, and permitted tailing pond is presently situated at the Ladner Creek minesite. Aggressive and successful exploration by Athabaska Gold Resources in 1995 and 1996 could result in the near term resumption of milling at Ladner Creek. Possibly this mill could be available for custom milling of ore from the Monument Zone,

a

.

,

2

0 1 2 3 4

Kilome t res

MONUMENT GOLD ZONE Coquihollo Gold Belt

TOPOGRAPHIC MAP Sc:ak: l:SO,OOo I &tu: Feb. 1996 1 NTS: 92H/11W

fig. 2 I

Work by: J. Sheorer, M.Sc.. P.Ceo.

I

F i g u r e 24 92H/llW

CLAIM STATUS

The Monument Gold Zone is held by. the 2-post mineral claims listed on Table I and shown on Figure 3.

TABLE I LIST OF CLAIMS

ClaiIIl H a m e

Little Ed #1 Little Ed #2 Little Ed #3 Little Ed #4 Little Ed #5 Little Ed #6 Little Ed #7 Little Ed #8 Little Ed #9 Little Ed #10 Little Ed #11 Little Ed #12 Little Ed #13 Little Ed 114 Little Ed #15 Little Ed #16 Little Ed #17 Little Ed #18

Tenure Number

3 14436 3 14437 3 14438 314439 3 14440 3 1444 1 3 14442 314443 3 14444 3 14445 341684 340068 340069 340070 34007 1 340072 340073 340074

Total

Number of Units

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1.

18 units

Remrded Owner

s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus s. Angus

Date of Location

Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1992 Oct. 30, 1995 Sept. 23, 1995 Sept. 23, 1995 Sept. 23, 1995 Sept. 23, 1995 Sept. 23, 1995 Sept. 23, 1995 Sept. 23, 1995

Current Expixy Date

Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Oct. 30, 1997 Sept. 23, 1997 Sept. 23, 1997 Sept. 23, 1997 Sept. 23, 1997 Sept. 23, 1997 Sept. 23, 1997 Sept. 23, 1997

Mineral Title is held in British Columbia via the Mineral Act, All of the Little Ed claims are two-post claims thrown east and west from a central claim line. Although each claim was not checked in the field, I a m familiar with the high quality of work done by the locator. Claims arc kept in good standing by applying appropriate assessment work in the amount of $100 per unit per year for the first 3 years and then $200 per unit per year thereafter.

3

t

92H064

f

2 3 4

Kilometres

I I MONUMENT GOLD ZONE Coquihollo Gold Belt t I CLAIM MAP

Stole: 1:so.o~) I Dote: F&. 1996 I MS: ~ Z H / I i w fig. 3 Work by: J. Shsorer, M.Sc., P.Cao.

EXPLORATION HISTORY of the Monument Zone

Quartz veins containing gold were first discovered in the Si- Creek area in 1891- 92. The Ward Mine located 3.5 km south of the Monument Gold Zone began production in 1905. By the 1920’s, activity in the area all but ceased. A minor amount of work was conducted in the Hidden Creek area north of the Monument in the mid 1930’s (Crossland, 1935). The history of the Southern Coquihalla Belt in the Ladner Creek drainage, is outlined in Shearer 1981 and is mainly associated with the Emancipation Mine, discovered in 1913, and the Aurum Mine which produced in the late 1920’s.

Gold exploration resumed in the mid 1960’s by Summitt Mining Ltd. on the Aurum - Idaho property. Carolin Mines acquired this property in 1973 and by 1974 had outlined a major gold orebody on the Idaho Claim.

Modem exploration in the north part of the belt began with claims named the Spuz- M a j located for Longbar Minerals in the fall of 1975. In 1976, field work commenced early in June and continued into August, consisting of several line miles of reconnaissance type stream sediment sampling, hand panning, several line miles of reconnaissance soil sampling, ground magnetometer surveying, geological mapping and three small detailed grids were established. As reported by Cochrane (1980) this work led to the discovery of the ‘Monument Zone”.

1977 work commenced in July and continued to the end of November. Work completed is summarized as following (Cochrane 1980):

Phase1 a) the establishment of additional 32.1 lcm ground control grid, topographic mapping fkom air photos b) 1.75 km of (4x4) access road construction c) the collection of over 800 upper ‘B” horizon soil samples and their analysis for gold content by Men-En Labs of Vancouver d) the excavation of seventeen (17) bulldozer trenches to bedrock in areas of anomalous amounts of gold in soil samples e) completion of over 20 line kilometres of ground vertical field fluxgate magnetometer surveying r) prospecting, geological mapping, sampling and assaying g) transit surveying to tie in new road and grid. phase I1 h) B. Q. wire line drill teat on the Monument Zone, a total of 546.2 lineal metres in twelve (12) short diamond drill holes I) transit survey of Monument trenches, vein segments and drill hole collars j) geological logging, splitting core and assaying core k) Preparation of engineering drawings and the calculation of diamond drill indicated grade and tonnage.

4

4 I *

I

1-1 SRPENllNlTE

FWLT. . . . . . . . . . . . . . . . _---- ~ ~ U C E R S ( s E E T A R 4 . E 4 ) . . . . . .A REWRTED GOLD OCCURRENCE ........

Sew: KllOMETRES 0 2 4


GOLD OCCURRENCES IN THE COQUIHALLA GOLD BELT

itole: os shown 1 Bote: feb. 1996 I Work by: J. Shearer, M.Sc.. P.Cso.

Ms: 92H/llW fig. 6

1978 exploration work included additional staking, extensive geochemical and geological work, and access road construction. By early 1979, the total number of units in the Spuz Project or Coquihalla North area reached over 130 (approximately 3250 hectares) and covered an area 18 km long by 2 k m wide. 1979 work consisted of camp construction and erection (seven trailer camp), additional linecutting, soil sampling, prospecting and diamond drilling. A total of 640.7 lineal metres (2102') of N. Q. diamond drilling was completed in seven (7) holes on the Monument Zone in 1979. The 1977 drill holes were named D.D.H. 77-1 to 77-12 inclusive; and the 1979 diamond drill holes 79-1 (hole 14) to 79-7 (hole 20). There was no diamond drill hole 13. Unfortunately, the Siwash Camp of Aquarius Resources Ltd. (the successor company to Longbar Minerals) was burnt in 198 1, including the Monument drillcore racks. Therefore the Monument drill core is no longer available for re-examination.

5

f

t


REGIONAL GEOLOGY I

Gale: os shown I Date: feb. 1996 [ NTS: 92H/11W - fig. 4 Work by: J. Shearer, M.Sc., P.Ceo. I L

1- I I I 1 I I I I 1 I I 1 !

REGIONAL GEOLOGY

Little Ed 1 0 18 Claims

The Little Ed 1 - 18 claims cover part of the Coquihalla Serpentine Belt and the Early to Middle Jurassic Ladner Group metasedimentaty rocks which are adjacent on the east (Caimes, 1924; Monger, 1970). The two groups of rocks are separated by the Hozameen Fault, a deep crustal fracture which is the locus of extensive movement. This assemblage makes up the main elements of the Coquihalla Gold Belt.

General geological characteristics of the Ladner Creek-Si& area have been discussed by Cochrane and GriflEith in numerous Carolin Mines Limited and Aquarius Resources Ltd. private reports since 1973. Some of these are listed in the bibliography. Surface mapping by Ray (1982, 1983 86 1989) shows that much of the stratigraphy in the immediate vicinity of the Hozameen Fault is inverted. Major folding and tilting of fault panels appear to be of fundamental importance in ore genesis. A summary of the importance of detail stratigraphic measurements is contained in Shearer and Niels (1983). The lower Ladner Group rocks represent a transition from a proximal turbidite depositional environment to a progressively distal turbidite and deeper water regime. A regular stratigraphic sequence is recognized within the Ladner Group and is critical to the s u c c e d formulation of gold exploration program.

The basic structure in the Idaho Mine and northward is a complexly faulted, asymmetric anfiform which plunges about 20° to the northwest. The ore zones amenable to open longhole stoping are located in the thickened hinge portions of the fold while mineralization generally disappears or thins along the fold limbs. The main fold structure is cut by major late fault structures that run subparallel to the fold axial plane. Crosscutting faults, trending northeast, appear to be an early element that has moved large blocks of volcanic rocks toward the east. The Monument Gold Zone is characterized by numerous late stage cross-cutting faults which displace the Hozameen Fault and adjacent rocks.

Gold occurrences in the Coquihalla Gold Belt can be generally classified as mesothermal replacement lode deposits of the Motherlode type. Caimes (1924) discusses the many nimifRribfes between the Motherlode District of California and the Coquihalla Gold Belt. It is Characteristic of mesothemal-type gold deposits that mineralization extends to considerable depths. Hydrothermal solutions have been channeled along the Hozameen Fault during serpentinitization of the ultramafic belt.

6

NAME THlC K NESS 4uctrrr 1

SILTY AFIGILClT€ LITHIC WACKE

BOULOCR CONOWMERAT€ MULTl COLORE0 AUOILLITE

PEeeLE CONGLOMERATE

I A L r ORE ZONE - calcito alrrratior,

30

30

,


STRATI G RAPHY Scok: w rhornIDote: fmb. 1998 I NTS: 92H/11W

fig. 5 Work by: J. Sheorer, M.Sc., P.Cao.

1

I i i : I

I 0

t 15- 16Star 17HomeX 18 Georgla No.2 and Norm 19 Emlgmnt 20 Roddlclc 2 1 Gold Queen and Dah/ Varden 22 Marvel 23 spco G and Rod A 24 un~rmed cold occurrence 25 Monument 26 SDln A N

LOCAL GEOLOGY and MINERALIZATION

The Monument Gold Zone was mapped by Littlejohn, (1977) and the following discussion is largely from that work.

The general strike of the rocks is around 330' to 340O. With few departures from this trend. Dips are vertical or greater than 80° to the west close to the Hozameen fault (suggesting structural inversion). Eastward, the dip becomes less steep and is between 40° and 65" to the west. No mqjor fold pattern has been recognized in the early mapping. Structural complexity has developed though faulting. To the west of the Hozameen Fault, the rocks are hard, fine grained, ribbon cherts of the Hozameen Group. A small body of diorite may straddle the fault between L2S and US.

On the east side of the Hozameen Fault the rocks are very fissile slates of the Ladner Group which have been sheared and fractured. Small quartz lenses and stringers are common and occur parallel to the foliation. Narrow, discontinuous zones of silicification are found within 150m of the Hozameen Fault. Away fiom the fault the slates appear unaltered except within 25m or less of later intrusives where a hard hornfels has developed. The foliation within the slates is very well developed and cleavage planes are &om 1 to 5 mm apart. Quartz lenses and stringers up to 5 cm thick are common, but do not appear to make up a significant portion of the rock except for two small outcrops at l O O N - 3+50E. Here the rocks here appear to have pervasively silicified by many small veins and lenses cutting though the rock. These outcrops are 200m north along strike from the soil anomalies at L3S - 4+00E. A body of listwanite occurs between L7S and L5S at about 3+00E. The overall dimensions were not determined, A highly altered, brownish-green, sheared carbonate rock is also found in the trench at L3S - 4+00E. Complex faulting occurs here and is presumed to be part of the same body. A number of small springs occur in this part of the area, which are deposit@ travertine cementing the overburden to a depth of 3m. The source of this calcium carbonate is probably the Lishvanite Zone.

Interfayered with the slates are a series of felsic sills and dykes, ranging in thickness fkom 2 to 20m, and averaging about 5m thick. Where they are unaltered, the rock is medium grained, porphyritic, pinkish in colour, consisting of up to 40% feldspar phenocrysts set in a quartz-feldspar matrix. The phenocrysts may be up to 0.4 cm in diameter. Chloritized, minor hornblende is the main mafic mineral. The sills are usually foliated and altered. The foliation and contacts me conformable with the foliation in the slates. Alteration during or after the formation of the foliation has destroyed much of the original texture. The altered sills have an equigranular, gneissic texture and are greenish brown in colour due to the formation of clay minerals. Quartz crystals have been elongated. Narrow veinlets of quartz and occasionally calcite cut these rocks and iron oxides have formed at the contacts. There are two main systems. One is striking NW-SE, while the more easterly is striking N-S.

I

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. . i

7

Legend:

HOtAMEEN ROCK

SERPENTINE

CARBONATE ROCK

LAONER SLATES

FORPHY RY

FAULT

I

/..--*--. ?. 3

' 0 ...-..

AAtVfA . . . .

I

,

A series of intermediate intrusive rocks are the youngest in the area A small plug of diorite occurs at L 3 N - 1+00E. It is a medium grained, equigranular rock consisting of 60% subhedral hornblende and 40% interstitial plagioclase. A second type (quartz-

chloritized hornblende and minor amounts of biotite. It is gra9sh-green in colour, and medium grained, equigranular in texture. It crops out near U S - 1+25W. A third rock type is included in this category, although it is possible that it belongs to the suite of felsic sills since it is a sill and is found near other sills at L4N - 7+00E. However it is unfoliated and unaltered consisting of 30% zoned plagioclase phenocrysts up to 0.5 c m in diameter set in a grey, fine grained quartz-feldspar matrix. Small cubes of pyrite are disseminated throughout the rock.

1 diorite) consists of 55% plagioclase, 10% quartz and 25% needle-like, somewhat

MONUMENT VEIN

The Monument quartz vein system consists of four segments (Figure 10). The original vein appears to have been broken up by late NW cross-hulting. Movement has been right-lateral. Drag folds were observed at the O+OO trench and 2+50N trench. That the 4 vein segments were originally continuous is postulated by Littlejohn on the evidence that a 10-30 cm wide sliver of slate is contained within the veins, approximately a third of the width of the vein in fkom the eastern contact. This is not seen in the northernmost section. Narrow zones of dicilication in the slates occur parallel to the vein. Altered felsic sills are found in close association with the vein. The vein has had a complex history of faulting and mineralization. I t may be considered in two parts based on spatial relationships and gold assays. The two southerly sections are richer in gold and are slightly thicker than the two northern section. There is a gap of 110m between the two parts.

I I :

I

\ The two northern segments are approximately 80m in length and vaty in width from 1 to 2m. Contacts with the dates are vertical. The vein is fractured in places. These cross-fkactures are spaced a few centimeters apart, are vertical and strike E-W, at a slight angle to the strike of the vein. Five (5) assays give an average of 0.084 02. per ton Au over an average width of 1.72m. This value is weighted by an assay of 0.297 02.

per ton at the southern end. No gold was seen, but gold can be panned for fkom each section of the vein.

Parallel to the vein, close to the western contact are shear zones in the slates which have made the slates very f i d e and stringers have been introduced, These continue to the north for at least 4Om. Minor sulfides are disseminated in the rocks. Fine grained pyrite is the commonest with occasional chalcopyrite being noted. When these rocks were crushed, roasted and panned, several colours were found (Littlejohn, 1977). Fifteen (15) samples of 2m sections were assayed. One sample, which was quartz rich, from trench 4+00N gave a result of 0.072 02. per ton Au, The remainder were 0.006 02. per ton or less.

Within the slates are a number of narrow horizons of greywacke. One of these is continuous for 1OOm and is approximately 5m wide. I t is mineralized with he-grained disseminated pyrite, pyrrhotite and minor chalcopyrite. Narrow quartz stringers occur in places, suggesting that the mineralization is replacement in nature.

The two southern segments of the vein vary from 1.5 to 2.5m in width. The Monument section to the south is 120m in length. The 0+50N section is 60m in length. Cross fractures are conspicuous. They are vertical and s e e 60°, approximately at right angles to the vein. The vein is offset slightly in 3 places with a right lateral sense of movement.

Visible gold was found in the Monument section close to the major offset and near the contact with the slates. It occurs in two forms. One type occurs as small nuggets between 0.5 mm and 2.0 mm in diameter in vugs and embedded in the quartz. The other takes the form of small thin flakes (leafgold) on shear surfaces in the slates at the contact with the quartz. Sampling in this areagave 0.471 02. per ton over 1.5m. Other assays gave 0.315 02. per ton over 2.5m and 0.065 02. per ton over 2m fiom the 0+50N section,

Other minerals in the vein are pyrite and arsenopyrite. They occur rarely in the quartz. Usually they are found at the contact where parts of the slate have been caught up within the vein.. W t e occurs as euhedral crystals or fine grained aggregates. Arsenopyrite occurs as small, elongated, subhedral czystals, randomly oriented within the contact plane. Galena and native copper have been found in the pan. Scheelite occurs in a 20 cm wide zone on the eastern contact in the 2+00N trench.

The Monument vein system has had a complex history with at least two episodes of mineralization. It is spatially associated with altered felsic intrusives. These appear to have been faulted along with the quartz vein. The vein may have formed at the Same time as the intrusives. These rocks are geochemically anomalous with respect to gold one grab sample from the 2+00N trench had a value of 0.003 oz., per ton. Scheelite was found in the vein in this trench. This mineral may be associated with similar intrusives to the south and these rocks are also a possible source of the gold.

After the formation of the vein it was broken up into four separate segments by cross faulting. The movement was right-lateral. There is a possibility of there being another section, perhaps 50m in length, at depth between the 0+50N and 1+50N trenches. This would provide the continuity suggested by the presence of a narrow sliver of slate within the vein in both these trenches. Individual offsets to the north and south are no more than 20m. The vein at 2+50N is offset 40m to the east from the vein at 0+50N

I I 1 I 1 1

. having undergone several off-sets.

Later mineralization took place along zones parallel to the strike of the vein and along - the contact. The slates at the contact are sheared and altered. W t e and arsenopyrite

appear to be late stage. In the North, a zone of silicification with minor gold and sulfide mineralization extend from the vein to trench 4+00, A zone of silicification extends fkom the vein at trench O+OO to trench 0+50. The vein sections have acted as zones of weakness along which shearing and silicification has taken place. 1

I

9

! / .

ll(10 N --

0 20 40 -- I

mtrn 1000 N 77% f $CALI

MONUMENT GOLD ZONE Coauihalla Gold Belt 1

; ! id,+" 8 '

I SURVEY PLAN & 1 .!$,'' DRILL H 0 LE LOCATIO (J - %ob: I:l.ZW IDoto: Fob. 1890 I KIS: OZH/llW

16% 9 Work bv: J. Sheorer. M.Sc.. P.Cso.

.. . , ..-, . .~ _.-_..- _. . . _ I . I

0.W

*.I

J

MONUMENT VEIN

‘I ‘I I ‘I ‘I ‘I I I I I ‘I I I ‘L I

L D -10 0

SCALE 1:500 -

000,

000, @I

g5 I1 GRAPHITIC FAULT 1-

CROSS SECTION 200 NORTH AU g/t - LITHOLOGY CODES

e265101 3EC.. 1996 I

REVIEW of PREVIOUS DIAMOND DRILLING

MONUMENT GOLD ZONE SUMMARY OF DIAMOND DRILL HOLE LOCATIONS

Hole # Cross- Latitude Departure Elcvatlon Azimuth Dip Total Length

77- 1 O+SON 11 17.00 967.20 924.5 250° -60 30.79m (1013 77-2 o+oo 1059.50 978.00 924.3 246O -60 44.81m (147') 77-3 o+oo 1059.50 977.50 924.3 246O -45 24.38m (80') 77-4 0+50S 1016.00 999.50 917.3 2 4 2 O -45 91.44m (300') 77-5 O+SOS 1016.00 1000.50 917.3 242O -60 24.38m (80') 77-6 l+OOS 967.50 1027.50 9 10.6 243O -60 59.13m (194') 77-7 2+00N 1264.00 958.00 924.2 235O -60 44.81m (147') 77-8 2+00N 1264.00 957.50 924.2 235O -45 66.60m (218.5') 77-9 2+50N 1302.50 948.50 923 238O -60 53.34m (1753 77-10 3+00N 1355.00 935.50 921.3 254O -60 45.1 lm (148')

1355.00 935.50 921.3 254O -45 40.23m (1323 77-12 897.00 1 108.00 9 10.3 -45 21.34m (70') No hole 13 *7g-1 2+00N 1265.00 960.50 924.2 ,239" -79 99.67m (327') *7g-2 2+00N 1279.50 990.00 920 239" -62 147.22m (483') *79-3 1+00N 1212.00 979.00 920 250° -45 89.00m (292') *79-4 O+OOS 979.00 1055.00 912 approx. 247O -60 137.47m (451') *79-5 483.00 1120.00 9 10 approx. 070° -45 112.78m (370') *7g-6 3+SON 1388.00 893.00 922 approx. 070° -60 33.53m (1 10') "79-7 3+50N 1388.00 893.00 922 approx. 070° -45 21.03m (69')

Section (Northing) (E asting) (in metres)

--

TOTAL 1187.06m

A limited amount of diamond drillhg was completed in 1977 and 1979 on the Monument Gold Zone' as listed in Table I1 totaling 3894.5 ft (1 187.06m). The location of this drilling is shown on Figure 10 (following page 9).

The results of this initial phase of drilling was highty encouraging as shown in Table 111 of significant minerdlized intersections. "he w e s t grade section was found in Hole 77-7 at the 2+00N section having mineralized quartz vein from 35.5 to 36.6m (3. lm or 10.2 A) which averaged 0.449 oz/ton gold (Figure 1 1). The northern most hole (79 7) at section 3+50N section gave 5.5 feet (1.7m) averaging 0.11 oz/ton gold.

Surface channel sampling suggests that there are smaller shoots of higher grade zones within the overall quartz vein system; However the spacing of the drillholes to date has not been close enough to attempt to follow these higher grade zones. Future drill patterns should be proposed with the objective of testing parts of the vein system to outline possible higher grade shoots.

10

TABLE I11 MONUMENT GOLD ZONE

77-9 77-10

77-1 1 77-12 77-13 1

Hole #

77- 1

29.2 29.5 0.3 quartz veinlets 29.5 31.0 1.5 siliceous slate 31.0 32.4 1.4 siliceous date 32.4 32.8 0.4 quartz vein 26.0 28.0 2.0 siliceous slate

77-2

77-3

77-4

0.16 0.0 1 0.094 0.10 860 ppb

77-5

77-6 77-7

77-8

From m.

~

22.1 22.5 23.5 19.3 20.1 20.4 21.0

~

17.0 17.7 18.3 19.0 14.0 14.8 15.8 16.6 18.4 19.0 43.3 35.0 35.5 36 .O 36.5 37.0 37.5 37.7 37.8 38.0 38.6 39.0 28.7 29.2 30.0 30.5

Imp To m.

22.5 23.5 24.3 20.1 20.4 21.0 21.3 17.7 18.3 19.0 20.0 14.8 15.8 16.6 17.0 19.0 20.0 45.0 35.5 36.0 36.5 37.0 37.5 37.7 37.8 38.0 38.6 39.0 39.5 29.2 30.0 30.5 31.2

~rtnnt Dim

0.8 0.8 0.3 0.6 0.3 0.7 0.6 0.7 1 .o 0.8 1 .o 0.8 0.4 0.6 1 .o 1.7 0.5 0.5 0.5 0.5 0.5 0.2 0.1 0.2 0.6 0.4 0.5 0.5 0.8 0.5 0.7

m d Drill Intensections Description

silicified zone quartz vein quartz vein slate silicified quartz vein silicified slate auartz vein quartz vein quartz vein quartz vein slate 86 peywacke siliceous slate quartz vein quartz vein siliceous slate quartz vein quartz vein Dossible silicified zone

~~

siliceous slate quartz vein quartz vein quartz vein quartz vein quartz vein '

quartz vein quartz vein quartz vein quartz vein siliceous slate quartz vein quartz vein quartz vein guartz vein

Values ControlAu

0.03 1 0.08 (0.140)

0.015 0.039 0.072 0.030 0.10 0.11 0.14 0.036 0.020 0.042

0.03 1

0.1 10 0.200

0.030 0.12 0.2 1 0.090 0.11 0.26 9.48 0.28 0.12 0.055 0.030 0.070 0.080 0.050 0.080

0.040 0.420

0.04 1 (0.100)

11

I ji= I- I - I I I I I 1 I I I I

' I I I I il

Important Diamond Drill Intersections a n t . Hole# Fromm. Tom. core Description Gold Lorinlcf

Length V ues ControlAu m. &?zyLn Sample

*79.1 30.6 32.6 2 .o replacement/ breccia 0.155 76.2 77.7 1.5 replacement/ breccia 0.04 1

0.056 81.5 83.5 2.0 Monument Zone *79-2 67.8 68.7 0.9 replacement/breccia 0.02 1

86.6 91.1 4.5 Monument Zone 0.052 "79.3 58.8 60.2 1.4 breccia 0.05 1 *79.4 47.2 48.2 1.0 replacement 0.04 1

*79.5 no significant intersection *7g-6 no significant intersection

67.8 68.4 0.6 Monument Zone . 0.19

71.0 71.6 0.6 Monument Zone 0.12

- "79.7 10.5 I 12.5 I 1.7 I Monument Zone 1 0.11 I

TABLE I11

Note: Diamond Drill hole logs and sections, in graphic form, are contained in the report by D. R. Cochrane, January 18, 1980.

Drill cross sections, F w e 11, suggest that the vein is off-set by gently dipping e&- west strilring faults. The angles of all faults encountered in the proposed drilling must be carefully documented. Unfortunately the old core can not be re-logged for more information in light of new geological concepts since the old core racks were destroyed by fire in the early 1980's. The original sampling was carefdly c d e d out and assaying done by Bondar-Clegg and Co. Check assays on most of the mineralized sections w a ~ done by Loring Labs. As a further check some of the split core was quartered and sent for control h y .

Preliminary resource estimates by D. R. Cochrane (Cochrane 1978A) after the 1977 drilling was 824 tonnes per vertical meter averaging 6.14 grams of gold per tonne (or 277 short tons per vertical foot averaging 0.179 ounces of gold per ton). All existing data have been entered in the Gemcom P. C. Explore computer program and the surface map into Auto-Cad allowing cross sections, longitudinal sections and plans to be easily produced at a variety of scales and orientations.

12 I

METALLURGY

Preliminary metallurgical testing was completed in 1996 by Process Research Associates Ltd. of Vancouver on a sample grading 2.93 g/tonne submitted by Jon Stewart. The sample was ground to 76.9% minus 100 mesh. Gravity concentration with a Superbowl Concentrator recovered 82.9% of the gold in a product grading 98.3 g/t Au. Panning the Superbowl concentrate recovered 68.9% of the gold and upgraded the product to 6888 g/t Au. (Klein, 1996).

Flotation of the gravity concentration tails recovered an additional 9.5% of the gold yielding an overall recovery of 92.4% of contained gold. Klein (1996) suggests that improvements in the gravity concentration would result from hvo stages of processing with a Superbowl Concentrator.

Currently, a test milling facility is under construction on K.L.S Investments Ltd. property near Yale in anticipation of mining a bulk sample in early 1997. Further metallurgical testing is required as the bulk sample is processed.

13

I I I I I I I

I

I I I I

e \

\ ' \

t 8

\ \

.


I SOIL GEOCHEMISTRY

. .

1

GEOCHEMISTRY

The general Monument Gold Zone area has been covered by the Spuz A Grid with lines at 1OOm spacing and samples at 20m apart, Figure 8. The Monument Zone has also been covered with a detailed soil grid of 5 lines 400 meters long, 15m apart (with part at 7.5m line spacing) having samples at 15m spacing. Gold-in-soil values up to 11,000 parts per billion were found.

The northern part of the detail grid has a very high gold-in-soil content. Also, a linear 100 meter long discontinuous gold anomaly occurs 40 meters west of the main Monument high which ends near the south end of Bigjon Lake. Multi-line soil anomalies also occur 300 meters north of Bigjon Lake.

Soil Geochemistry appears to be a powerful tool in outlining areas of interest for additional investigation. Excavator trenching is w a n t e d on all soil anomalies in excess of 100 parts per billion which overlie shallow overburden.

I

1 - 14


DETAIL SOIL GEOCHEMISTRY -

kola: 03 shown I Bate: Feb. 1996 I NTS: 92H/llW fig* 9

Work by: J. Shearer, M.SC.. P.Ceo.

GEOPHYSICS

The Spuz A Grid was also surveyed by ground magnetometer to aid in geological mapping. The results mainly outline the highly magnetic areas of ultramafic rocks. Experience along the Belt to the south suggest that the ground magnetics are also very helpful in the interpretation of major faults.

As geological mapping proceeds during the recommended program in 1996, additional ground magnetometer, using a recording base station, may be required.

15

l - CONCLUSIONS

The Monument Gold Zone varies from less than 2 feet (0.6m) to close to 10 feet (3.0m) wide. Individual assays within the Monument Zone quartz vein range &om less than 0.05 to over 9 ounces gold per ton. The main quartz vein system, as shown by holes 79-1 and 79-2, changes at depth to more dominant breccia-type, pervasive alteration

I I I zones.

Along strike, the zone continues to the south and is open and untested in this direction. Additional work is also required to the north to define targets. Deeper drilling conducted in 1979 shows the zone continues to over 250 feet below surface in the 2+00 North section. The Monument Zone can be c l d e d as a mesothermal replacement lode deposit of the Motherlode-type. A common characteristic of such deposits is their continuity to depth.

Drilling also suggests the existence of a sub-parallel replacement zone on the east side of the Monument Zone. This zone is not exposed at surf'ace, and is covered by a thick mantle of overburden. The best drill intersection across this subsidiary zone is 0.155 oz/ton across 6.5 feet (2.0m). Soil geochemistry also suggests a sub-parallel zone to the west which is as yet untested.

Diamond drill sections across the zone are relatively wide spaced and average 164 feet 1 (50m) between sections, with on gap up to 315 feet (95m).

Results to date are highly encouraging. The Monument Gold Zone requires a substantial diamond drill program to define the continuity of higher grade zones, continuity at depth and extent to the south. It is very likely that close spaced diamond drilling spotted with attention to higher grades could extend these of highly mineralized shoots within the main vein.

.

16

' .

! RECOMMENDATIONS and COST ESTIMATE PHASE I

A staged program of diamond drilling and detailed studies is recommended to bring the resource estimate to proven categories. Fill-in drilling is required on the Monument Zone in order to:

1) accurately estimate grade and tonnage; 2) test the zone further to the south; 3) test the zone at depth; 4) till in the gaps to 25 meter drill fences; 5) M e r delineate the subparallel replacement zones; 6) explore the area to the east and west of the parallel zone in order to

7) define targets to the North determine if additional zones ,exist.

The following is an estimate of Phase I costs:

1) 2)

9,000 feet (2,743.23m) of N. Q. diamond drilling@ 23.50/A. Surfhce geological mapping, surveying drill holes, core logging core splitting, 8ss8y and prepare drillhole sections and plans on P.C. Explore Computer Program - 9,000 feet @ $6.50/ft

3) Computer Processing 4) Transportation/communication 5)

Sa) Upgrade access road, culverts, waterbars 6) Campcost 7) 8) Geophysical test work 9)

Prepare drill sites, access roads, move drill; cat time 150 hrs @ $1 l O / h r

Core storage, and core logging, sample reject and cote facilities

Contingencies at 10% of subtotal $318,150.00,

$2 1 1,500.00

$58,500.00

$ 6,000.00 $ 5,000.00

$16,600.00 $ 5,650.00 $ 7,500.00 $ 5,000.00 $ 2,500.00 $3 1,8 15.00

TOTAL $349,965.00 SAY $350,000.00

Shearer, M.Sc., FGAC, P.Geo. November 29,1996

17

ESTIMATED COST of FUTURE WORK PHASE I1

Monument Gold Zone Phase I1

Phase I1 - contingent on successfully outlining in Phase I of major gold resource to depth and to the south on the Monument Gold Zone.

1) Continued detail geological mapping 1500, Grid Control 2) Diamond Drilling - 5,000 feet of N. Q. Wireline @ 23.50/ft 3) Transit-EDM Survey Control 4) Geological Control for Drilling Program 5) Mob and Demob of Excavator 6) Camp costs (food and supplies) 7) Transportation 8) Excavator Trenching and Bulk Sampling 9) Analytical (Rock and Soil) 10) Metallurgical Testing 1 I) Compilation and Report Preparation

TOTAL Phase I1

GRAND TOTAL Phase I 8b I1

$ 16,000.00 $1 17,000.00 $ 8,000.00 $ 25,000.00

$ 4,000.00 $ 3,000.00 $ 40,000.00 $ 8,000.00 $ 66,000.00 $ 4.000.00

$ 2,000.00

$320,000.00

$670,000.00

18

1 1 1 1 1 I I 1 1

- 1 I I 1 I 1 I I I

REFERENCES

Caimes, C. E., 1921 Coquihalla Area, British Columbia

Geological Survey of Canada, Sum. Rept. 1920, pt. A, pp. 23-41

1924 - Coquihalla Area British Columbia Geological Survey of Canada, Memoir 129, 187 pp.

1930 - The Serpentine Belt of Coquihalla Region, Yale District, British Columbia Geological Survey of Canada, Sum. Rept. 1929, Pt. A, pp. 144-197

1944 - Hope Area, Geological Survey of Canada Map 737A, 1”=4 miles, on sheet.

camsell, c., 1919 Coquihalla Map Area, B.C.

Geological survey of Canada, Sum. Rept. 1919, pt. B, pp. 30B-35B

Cardinal, D., 1982 Geological, Geochem and Bulk Sampling on portions of the Spuzzum Group,

Private Report for Aquarius Resources Ltd., January 1982.

1981 - A review of the 1980 Geological mapping of the Spuzzum Group, Private Report for Aquarius Resources Ltd., March 1981

1983 - Hidden Creek (Gilt) Geological Assessment Report on Hidden Creek Claim Group, (Julie, Mike and C. C.), Private Report for Aquarius Resources Ltd., October 1981

Cardinal, D. G. and Fowler B. P., 1981 Geological and Geochemical Assessment Report on a portion of Hidden Creek,

Private Report for Aquarius Resources Ltd., September 1981

1983 - Hidden Creek (Gilt) Geological Assessment on a portion of Hidden Creek (Gilt #2 claim), Private Report for Aquarius Resources Ltd., October 1983

Clarke, W. E., June 11, 1981 North Exploration, 3 pp. plus map, Carolin Mines Files

1979B As Estimate of the Potential on the Ladner Creek Gold Property. Exclusive of the

Idaho Zone, Private Carolin Mines Report, 27 pp., May 28,1979

Cochrane, D. R., 1973 Aurum, Idaho and Pipestem Gold Occurrence, Private Carolin Report

16 pp., July 3,1973

1974B Report on the Aurum, Idaho, Tramway, Home Gold, Cam, Gold Star, Cabin

and Silvia Claims. Private Carolin Report, 18 pp., Sept. 11,1974

1975B McMaster Zone, Ladner Creek Project, Private Carolin Mines Report, Dec. 1975

19

1

i

1976 Geophysical and Geochemical Assessment Report on Stem 1- 12 claims, July 1976

Spuz-Maj-Siwash Creek Project. Notes on the Project, Sept. 1976

1977 Assessment Report on a Geochemical Soil Sampling Survey on portions of Rod E

Mineral Claim (Spuz), Oct. 1977

1978A Estimation of Grade and Tonnage, Monument Vein, tetter Report, 13 pp.

Janua~y 19, 1978

1978B Recommendations and Cost Estimate of Additional (1978) Exploration work on the

Monument Zone, June 1978

Geochemical Assessment Report on portions of the Last Group, Hidden Creek Group (Hidden Creek Group), Oct. 1978

1979 Diamond Drilling and Camp Construction Assessment Report on Portion of Spuz Group

with D. D. H. Logs, Oct. 1979

1980 .Geochemical Assessment Report on the Last Group, Hidden Creek Group

(Hidden Creek Group), Sept. 1980

Cochrane, D. R. and Littlejohn, A, 1977 Geophysical and Geochemical Assessment Report on Stem 1-12 and Dick and Spid,

Oct. 1977

Crossland, A. J., 1935 Report on the Hidden Creek Mines Property, Private Report for Hidden Creek

Mines Ltd., 1935

Dawson, G. M., 1879 Preliminary Report on the Physical and Geological Features of the Southern Portion of

the Intexior of British Columbia, Geological Survey of Canada, Rept. of Frog. 1877-78, pt. B., p. 1B-173B

Goldsmith, L. B. and Kallock, P., 1986 Geology, Rock and Soil Geochemistry, Carolin Mine Area, Hope, B.C. Prepared for

Pennant Holdings Ltd., December 4, 1986,30 pp.

GrifEth, D. J., 1976 Report on Car0 17,18,19,21,23, Cam #3 fraction and D1 1 claims. B.C. Dept. of

Mines, Assessment Report 5883,4 pp., Feb. 1976 (McMaster Report)

20

1 I 1 I I I 1 1 1 I I I I I 1 I 1 I

1978 Report on the Car0 1-27,28030, 1 fraction, 2 fiaction, 3 fraction, 5 fraction,

6 fraction, Idaho, Aurum 1, Tramway, Sylvia, Cabin 1-14,21,20 fraction, Goldstart 104, PCR 2 and Home Gold 1-15 Claims, Private Carolin Mines Report (Idaho Report)

1979 Work proposed for Carolin Mines Ltd., McMaster Pond Area 6 pp., March 20, 1979,

€&ate Carolin Mines Report.

Klein, B., 1996 Preliminaq Metallurgical Testing., 5 pp. August 19,l 996. Private report for

K.L.S. Investments Ltd.

Littlejohn, A., 1977 Reconnaissance Geological and Geochem Survey on the North Section of the

Coquihalla Belt, Private Report for Longbar Minerals Ltd., October 1977

Magee, M., 1987 Geological Evaluation and Plan for Exploration, Ladner Creek Properties,

The Winters Co., for Carolin Mines Ltd., June 1987.44 pp.

McTaggart, K. C., 1970 Tectonic History of the Northern Cascade Mountains, Geological Association

of Canada, Sec. Paper 6, pp. 137-148

Monger, J. W. H., 1970 . Hope Map Area, West h a , British Columbia, Geological S w e y of Canada, -

Paper 69-47,75 pp.

Ray, G. E., 1982 Carolin Mine - Coquihalla Gold Belt Project (92H/611) in Geological -~

Fieldwork, 1981, B.C. Dept. of Mines, Paper 1982 - 1, p. 87-10.

1983 Carolin Mine - Coquihalla Gold Belt B.C. Ministry of Energy, Mines and Pet. Res.,

Geological Fieldwork 1982, p. 62-84

1985 The Hozameen Fault System and related Coquihalla Serpentine Belt of

Southwestern British Columbia, CJES

1990 The Geology and Mineralization of the Coquihalla Gold belt and Hozameen Fault

System, Southwestern British Columbia, MEMPR, Mineral Resources Division, Geological Survey Branch Bulletin 79,97 pp.

Ray, G. E, and Niels, R. J. E., 1984A Surface and Underground Geological Structures at the Carolin Gold Mine.

B.C, Ministry of Energy, Mines and Petroleum Resources, Geological Fieldwork 1983, pp. 133-138.

21

CIA_

L

1984B Element Zoning Associated with Gold Mineralization at Carolin Mine. B.C. Ministry i

of Energy, Mines and Petroleum Resources, Geological Fieldwork 1983 paper, j I- ~

I !

1983-1, pp. 139-149 I

Ray, G. E., ShearerJ.T., Niels, R. J. E., 1983 i Carolin Gold Mine, GAC-Mac-CGU Joint Annual Meeting, Victoria, B.C., May 1983

Guidebook, Fieldtrip No. 4, p. 40-64

Shearer, J. T., 1982A t

Geological Geochemical and Geophysical Report on the Ladner Creek North Project. Private Carolin Mines Report, 117 pp., Apd 30, 1982

39828 Preliminaxy Investigation on Sulfide Distribution, Idaho Orebody, Progress Report 1.

I

I

i Private Carolin Mines Report, 22 pp., 5 figures. i I

i

1982C Summary Report on the Ladner Creek North Project. Private Carolin Mines Report -

51 pp., Nov., 23, 1982

1982D 800 Track Level, 8 5 0 N to 867N, December 8, 1982, Memorandum,

Carolin Mines Files, 1 pp., 1 map

1983A Geological Mapping on 800 Track Level to Accompany Figures 1,2 and 3.

Memorandum, February 22,1983, Carolin Mines Files, 8 pp., 3 maps

1983B Geological Mapping of the Crusher Decline and AURUM MINE EXPLORATION

PROPOSAL, Memorandum, Mar. 23,1983, Carolin Mines Files, 5 pp., 1 map

1983C Re-logging Idaho Mine Drill Core, Cross Sections 733N, 750N, 934N, 966n,

Memorandum, May 30; 1983, Carolin Mines Files, 2 pp.

1983D North Exploration, 800 Level, Proposal Memorandum, June 23,1983,3 pp.,

Carolin Mines Files.

19836 North Exploration, 800 Level, Budget Memorandum, July 7,1983,l pp.


19833 Geological and Diamond Drilling Report on the Ladner Creek North Project,

B.C.D.M. Assessment Report, July 20,1983

1983G Possible ore zones above #2 zone near 1050 elevation at SurEace. Memorandum

August, 1983,2 pp., Carolin Mines Files.

.-•

1983H Data File &om D. R. Cochrane, Memorandum, August 8, 1983, 1 pp.,


19831 Preliminary Cost - Benefit Comparison 862 Level vs. 800 Level Idaho North Exploration

and Diamond Drilling. Memorandum, Aug. 24,1983,4 pp., Schedule and Map.

19833 Idaho, North Exploration, Diamond Drilling for the Month of September, Memorandum, .

October 11, 1983,3 pp. and 2 maps, Carolin Mines Files. I

1983K Report on Detail Sample Test Program, 79 Stope No. 1 Zone, Idaho Orebody, Feb. 7 to

Feb. 19, 1983. Private Carolin Mines Report, Feb. 25, 1983,6 pp.

1983L Detail Sampling Program on the Rod Mill Discharge and Rod MU Feed.

Private Carolin Mines Report, June 15,1983,lO pp.

1983M Re-Processing and Gold Recovery from Tailings within the Tailings Pond,

August 14, 1983, Private Carolin Mines Report, 6 pp. plus maps

-

1983N Month-end Geological Report - July 1983, Private Carolin Mines Report,

Aug. 7 1983,4 pp.

1988 Diamond Drilling Report on the Aurum Project, February 29, 1988,28 pp.

for Carolin Mines Ltd.

1989A Preliminqy Summary Report on the McMaster Zone, Private Carolin Mines Report,

5 pp., November 20,1989

1989B Geological, Geochemical, Geophysical and Diamond Drilling Report on the McMaster

Zone, Private Carolin Mines Ltd. Report, 24 pp., December 6,1989.

1990A Progress Report No. 2 - Key Geological Concepts concerning the Idaho Mine and

Proposed North Exploration - January 1990.

1990 B Trenching Report on the McMaster Zone. Private report for Anglo Swiss Mining Corp.

1995 * Geological and Geochemical Assessment Report on the McMaster 1 - 112 Claims.

Private report for Athabaska Gold Resources Ltd. August 15, 1995., 28 pp.

Wolfe, R., 1980 Geochemical Assessment report on the Leslie 1-5, Paw 5-8 Mineral Claims

Spuzzum Group, Dec. 1980

24

!,

,r--C-CLI-YUC.P ,,..-.”.-.- .....* ,:. .... _ _ ..> . . . .% .._.,._.. ... . . ._., ..... . ..,* -._...... *. * . , . ?. . . .. .. , . ,

1 8

APPENDIX I

STATEMENT OF QUALIFICATIONS

J. T. SHEARER, M.Sc., P.Geo.

November 29, 1996

Appendix I

STATEMENT OF QUALIFICATIONS . I

I, JOHAN T. SHEARER, of 1817 Greenmount Avenue, in the City of Port Coquitlam, in the Province of British Columbia, do hereby certify;

1.

2.

3.

4.

. 5.

6.

7.

I am a graduate of the University of British Columbia (B.Sc., 1973) in Honours Geology, and the University of London, Imperial College (M.Sc., 1977).

I have practiced my profession as an Exploration Geologist continuously since graduation and have been employed by such mining companies and McInlyre Mines Ltd., J. C. Stephen Explorations Ltd., Carolin Mines Ltd. and TRM Engineering Ltd. I a m presently employed by Homegold Resources Ltd.

I am a fellow of the Geological Association of Canada (Fellow No. F439). I a m also a member of the CM& Institute of Mining and Metallurgy and the Geological Society of London. I am a member in good standing with the Association of Professional Engineers and Geoscientists of British Columbia (Member No. 19,279).

I a m an independent consulting geologist employed since December 1986 by Homegold Resources Ltd. at #5-2330 m e r St., Port Coquitlam B. C.

I a m the author of a report entitred ' S u m m q Report on the Monument Gold Zone - Siwash Creek Area" dated November 29, 1996.

I have visited the property numerous times, beginning with a visit during October 1977 during the initial drilling, in 1982 and more recently in July 1995 and July, August and October 1996. I am familiar with the regional geology and geology of nearby properties. I have become fhmiliar with the previous work conducted on the Monument Gold Zone by examining in detail the available reports, plans and sections, and have discussed previous work with persons knowledgeable of the area I have worked along the entire Coquihalla Gold Belt as an employee of Carolin Mines Ltd. &om February 1981 to March 1984 and supervised advanced exploration programs in 1988,1989 and 1990. as well as mapping and prospecting in October 1994 and June- July 1995. More recently I supenrised a major program of underground drifting and drilling on the Idaho deposit between September 1995, February 1996 and Diamond drilling at the McMaster Deposit October - November 1996.

'

I do not own or expect to receive an interest (direct, indirect or contingent) j, the property described herein or in the securities of

g, L. '5.'. Z b t W

Dated at Port Coquitlam, British Columbia, this 2

q,

J. T. Shearer, M.Sc., F.G.A.C., P.Geo.

25

*

I

APPENDIX I1

CLAIM RECORDS

of LITTLE ED #1- #18

November 29,1996

I .- _- - -- - ."

I Provlnee of British COlumbla Ministry of Energy, Mines ana Petroleum Flesources

(Section 23) I !

RECORD OF 2 POST CLAIM - MINERAL TENURE ACT

- New Westminster 34 I684 Mining Div;

!<@cZaber 30 95 I Cafe of Rezorc! 19 -

I - /UT WRITE IN Qold C0mm;ss10no~

4 w I. PLEASE P R I M CLEARLY

- --- -.-. u -

I i !

i !

i

i

I

1

i I

ecurely affixoa the poian of the metal identification tag embossed L POST {No. 1 j" to tne tnltal posl and impressed this infomation ag:

TAG NUMBER CIr737 M INITIAL POST (No. I)

NAME LtcrCE Eb -- 'OR -50 8 R N W S .

;OMMENCED aryh 36 / 9 w :OMMENCED /O:ab A*PI 2. - 1 F.P. hl0kTd- 1s TO FVGHT SO0 . . .-c .

- FOR - - 2 - w

'S TO LEFT

I have securely affikeC the portion of the metal ibentific3tion tag embossed "FINAL POST (No, 2)'' to :he final post {ar the witness post') and impressed this infsrma!ion cn I!I+ iag*

TAG NUMBER 6rz737 M FINAL POST (No. 2)

--.. .k- CLA~M NAME i ~ 7 4 e 6 -.- b . 2

*If vAtness past piaced for final post: Bearirg to'irue postion of lhai post

..a

’1

, mvlnqe of Btitlsh Columbia Ministty of Energy. Mines and Petroleum Resumes I

I RECORD OF 2 POST CLAIM - MINERAL TENURE ACT ! bEc7iMJ 23 I

'IEYURE '40 - --." -C-. .- p--. .

f I! k 8

0 w

E H

I F

!

CLIENT NUMBER

L- METRES TO RIGHT

METRES TO LEFT . ,reo

metres distance

r

~ F B of Britlsh Columbia Minlstry of Energy, Mines an6 Fetroleum Resources I I RECORD OF 2 POST CLAIM - MINERAL TENURE ACT

SECTtON 23 TENURE NO --

Dc) NOT \(1 THIS SHAD1

3 p cI CAT1 0 N 0 RECORD

A 2 POST CLAIM

ACCESS

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CLIENT NUMBER --

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1 have securely affixed the portion of tho metal ldcntiiication tag embossed INITIAL POST (NO. 1)" 10 Ihe initial post and inlpresckd this inlormatton on the tag:

I tiavo Sacurcly atfixed t h e ooftton of ths Itlelal ;derrtliicallOrr !ag emt>nsR$d * FINAL POST (NO 2)" to the firial post (0: Ihe witness post') and mlpressed tnl$

.. 1 TAG NUMBER FINAL POST (NO. 2 )

Gs274@* TAG NUMBER

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UP Na

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INITIAL POST (NO. I)

AGENT FOR

DATECOMMENCED z3. e p r

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TIME COMMENCED ?:a0 /4m. DR. TO NO. 2 POST AJoRltH

AGENT FOFI A A

DIST. FROM NO. 1 POST so0 fv'

DATE COMPLETED s & T E3 /??r

I

-1.

i NO

:ATION CORD \ IST UM

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ko boco vox · v summary 4) 5) . 7) 9) the monument gold zone is located 1.5 km east of the fraser...

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